Twitch laying off 35% of staff

Update, Thursday, January 11: Twitch CEO Dan Clancy confirmed the layoffs in a statement shared on the Twitch blog.

"Over the last year, we’ve been working to build a more sustainable business so that Twitch will be here for the long run and throughout the year we have cut costs and made many decisions to be more efficient," Clancy wrote.

"Unfortunately, despite these efforts, it has become clear that our organization is still meaningfully larger than it needs to be given the size of our business."

He continued: "As with many other companies in the tech space, we are now sizing our organization based upon the current scale of our business and conservative predictions of how we expect to grow in the future."

Original Story, Wednesday, January 10: Twitch is laying off 500 employees this month, according to a Bloomberg report.

This is according to sources "familiar with the plans," which the outlet said may be officially announced today.

Bloomberg suggested that the cuts are a result of "concerns over losses" and the departure of a number of executives.

GamesIndustry.biz has reached out to Twitch for further clarification.

This is the latest in the rounds of Twitch layoffs, the first taking place last March which involved the loss of 400 employees as part of Amazon's 9,000 job cuts.

The second round occurred in October, which was limited to the company's customer experience organisation as Twitch moved to outsourcing.

Despite being owned by Amazon, Twitch executives have clarified in recent years that the streaming site is expected to be a "sustainable, viable long-term business."

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